Spring into action: Setting goals and making them happen
It’s the season of new beginnings and growth – so what better time to set some new personal and business goals, with a detailed financial plan to match?
The ‘Where do you see yourself in 10 years?’ question is an interview staple, but business owners can also benefit from taking a moment to visualise their futures. Where will you be living? Will you be retired? What lifestyle do you what? Who do you want to spend it with?
We’re hardwired to live in the present, but we all need to see into our future if we’re going to get there smoothly. After all, if you’re not sure where you’re going, you may end up somewhere you don’t want to be.
Once you’ve got your goals clear in your mind, it’s time to set a positive path to achieving them.
Personal goals can be linked to life milestones, like starting a family, buying a house or retiring before we’re 60, or even based on our ambitions, such as starting a small business or leaving behind a legacy for our loved ones.
By taking time to understand who you are, what you hold dear and what you believe in, the goals will come naturally. But if they aren’t backed by a financial plan, a goal can remain simply a wish.
Spring is therefore a perfect opportunity for some financial housekeeping, and talking those personal goals over with an adviser is just the first step. Everyone’s financial journey and situation is different, which is why any financial plan should be highly personal and tailored to you.
At Wellesley, we spend time getting to know you, in order to get an in-depth understanding of your goals, motivations and lifestyle. In short, we find out what makes you tick, and what doesn’t.
But what happens if your goals change?
As John Lennon said: “Life is what happens when you’re busy making other plans”. We can anticipate the future, but we can’t predict it. A break-up, an unexpected job loss or medical bill may throw you a curveball. Our goals may change over time, and having a plan in place protects you through the difficult times as well as the bumper years.
The longer you take financial advice, the better your adviser can understand and support those changes with practical, empathic advice. It’s much easier to fine-tune a financial plan that already exists, rather than start from scratch.
What’s more, with the new tax year now up and running, early use of the fresh allowances and exemptions could reap rewards over the longer term, helping you achieve the future you want. An adviser can help you better understand tax reliefs and how they relate to your individual circumstances. It can also contextualise them within your overall retirement strategy, to help clarify how you can meet your goals and objectives.
Personally and professionally speaking
Of course, entrepreneurs will also have their eye on their business goals. The starting point is to be clear about what’s important to you and your business – effectively, being clear about your ambitions and why you want to achieve them.
With the pandemic beginning to fade into the background, now’s the time to think about where you want your company to go next. Perhaps you’re thinking about growth? Later in this newsletter, we discuss the importance of knowing when to invest in growth and on which part of the business you should focus for maximum impact.
What’s more, it’s vital to build and maintain a healthy workplace culture that matches the strategy of the business and keeps your employees engaged, productive and focused on customer or client happiness.
Whatever’s next for your business, it’s important to think about tax and pensions. Tax may, understandably, not feel like the most important thing in the world to a business owner. But not paying attention to the tax detail can result in material financial harm over the years. With the dawn of the new tax year, there will be many business owners thinking about how to extract the profits they make this year in the most tax-efficient way.
Seizing new opportunities
Creating a detailed financial plan to match your goals will make you feel confident and in control, meaning you can spring forward into the future – and embrace it!
If you’d like to talk through your own personal goals, or review your existing ones, please get in touch.
The value of an investment with St. James’s Place will be linked directly to the performance of the funds selected and may fall as well as rise. You may get back less than the amount invested.
The levels and bases of taxation, and reliefs from taxation, can change at any time and are dependent on individual circumstances.